International Money Express (IMXI) is a company that provides omnichannel money remittance services to consumers in the United States, Canada, Spain, Italy, and Germany. With a network of agent retailers and digital platforms, IMXI facilitates the transfer of funds to countries in Latin America and the Caribbean, focusing primarily on Mexico and Guatemala. The company’s suite of services includes ancillary financial processing solutions and payment services, available across all 50 states in the U.S., Puerto Rico, and 13 provinces in Canada.
One of the key players in IMXI’s recent developments is Voss Capital, a Houston-based hedge fund with a 5.64% ownership stake in the company. Voss has been actively engaging with IMXI’s board and management team to explore ways to maximize shareholder value, including the possibility of a sale in a take-private transaction. This move by Voss comes as part of their strategy to unlock the full potential of the company and ensure that shareholders benefit from its growth and success.
IMXI’s market value currently stands at $601.9M, with shares trading at $18.46. Despite the company’s solid performance and strong market position in the remittance services industry, Voss believes that IMXI is undervalued by the public markets. This sentiment is echoed by other shareholders, including Breach Inlet Capital Management, who have also called for a strategic review of the company’s options, including a potential sale.
As a provider of essential financial services to millions of clients every month, IMXI has a significant presence in the Latin America and Caribbean markets, with approximately 20% market share in the top five countries. The company has been actively expanding its reach through strategic acquisitions, such as La Nacional in 2022 and I-Transfer in 2023, to strengthen its position in key markets and enhance its service offerings.
Voss’s advocacy for a strategic review at IMXI is not a new approach for the hedge fund, which has a track record of successful activist campaigns in other companies. By engaging with IMXI’s board and management, Voss aims to drive value creation for shareholders and ensure that the company’s growth potential is fully realized. While a sale of the company is one option on the table, Voss’s long-term investment approach prioritizes sustainable growth and value creation over short-term gains.
In the highly fragmented global remittances market, IMXI’s unique position as a leading provider of money transfer services presents opportunities for consolidation and strategic partnerships. With the potential for expansion into new markets and digital platforms, IMXI’s growth trajectory could benefit from the support of a strategic acquirer or private equity firm that shares its vision for long-term success.
As Voss continues to advocate for shareholder value maximization at IMXI, the possibility of director nominations and a proxy fight remains on the table. With a history of successful activism campaigns, Voss is prepared to take decisive action to ensure that IMXI’s shareholders are well-represented and that the company’s strategic direction aligns with their interests.
Through its engagement with IMXI’s board and management, Voss is working to create a path forward that balances short-term goals with long-term sustainability and growth. By leveraging its expertise and experience in activist investing, Voss aims to position IMXI for success in a competitive market landscape and drive value creation for all stakeholders involved.
